Middle Eastern Penny Stocks Under US$40M Market Cap: 3 Promising Picks

Most Gulf markets have recently ended higher, buoyed by a ceasefire in Iran and expectations of U.S. rate cuts, which have lifted investor sentiment across the region. Though the term 'penny stock' might sound like a relic of past trading days, the opportunity it points to is still relevant. In this article, we explore three penny stocks from the Middle East that combine balance sheet strength with potential for outsized gains, offering investors a chance to discover hidden value in quality companies.

Top 10 Penny Stocks In The Middle East

Click here to see the full list of 79 stocks from our Middle Eastern Penny Stocks screener.

Let's dive into some prime choices out of the screener.

Yesil Yapi Endüstrisi (IBSE:YYAPI)

Simply Wall St Financial Health Rating: ★★★★☆☆

Overview: Yesil Yapi Endüstrisi A.S. is a construction company operating in Turkey and internationally, with a market cap of TRY1.21 billion.

Operations: The company generates revenue of TRY29.77 million from its heavy construction segment.

Market Cap: TRY1.21B

Yesil Yapi Endüstrisi A.S., a construction company with a market cap of TRY1.21 billion, has demonstrated strong financial management despite challenges. Its short-term assets of TRY412.9 million exceed its short-term liabilities, yet fall short against long-term liabilities of TRY3 billion. The company's debt is well-covered by operating cash flow, and it boasts a high return on equity at 20.1%. Despite negative earnings growth over the past year and low revenue under US$1 million, Yesil Yapi's net income surged to TRY286.84 million in Q1 2025 from TRY112.46 million the previous year, highlighting potential volatility and opportunities in this penny stock investment landscape.

• Get an in-depth perspective on Yesil Yapi Endüstrisi's performance by reading our balance sheet health report here.
• Evaluate Yesil Yapi Endüstrisi's historical performance by accessing our past performance report.

Jeen Technologies AI (TASE:JEEN)

Simply Wall St Financial Health Rating: ★★★★★★

Overview: Jeen Technologies AI Ltd develops, manufactures, and markets mobile computing platforms for fleet and mobile workforce management solutions, with a market cap of ₪35.28 million.

Operations: The company's revenue is entirely derived from its Hardware Products segment, amounting to ₪3.33 million.

Market Cap: ₪35.28M

Jeen Technologies AI Ltd, with a market cap of ₪35.28 million, is navigating the penny stock landscape with its focus on mobile computing platforms. Despite being pre-revenue with total revenue at ₪3.33 million, the company maintains a robust financial position; short-term assets of ₪16.7 million comfortably cover liabilities of ₪612K, and it operates debt-free. Its cash runway extends over three years if current cash flow trends persist, though high share price volatility and an inexperienced board present challenges. The management team's experience provides some stability as Jeen adapts to recent corporate changes following its name change from Micronet Ltd in May 2025.

• Click to explore a detailed breakdown of our findings in Jeen Technologies AI's financial health report.
• Examine Jeen Technologies AI's past performance report to understand how it has performed in prior years.

Speedvalue (TASE:SPDV)

Simply Wall St Financial Health Rating: ★★★★★☆

Overview: Speedvalue Ltd, along with its subsidiaries, offers information technology services and has a market cap of ₪57.55 million.

Operations: The company generates revenue of ₪112.11 million from its computer services segment.

Market Cap: ₪57.55M

Speedvalue Ltd, with a market cap of ₪57.55 million, is navigating the penny stock domain through its IT services generating revenue of ₪112.11 million. The company's financial health shows resilience as short-term assets (₪63.0M) exceed both short and long-term liabilities (₪61.9M and ₪12.4M respectively). Despite negative earnings growth last year and low profit margins (1.6%), Speedvalue has reduced its debt to equity ratio significantly over five years, now at 28.8%. The experienced management team offers stability amidst high share price volatility, while interest coverage remains strong despite negative operating cash flow.

• Click here to discover the nuances of Speedvalue with our detailed analytical financial health report.
• Gain insights into Speedvalue's historical outcomes by reviewing our past performance report.

Taking Advantage

• Navigate through the entire inventory of 79 Middle Eastern Penny Stocks here.
• Curious About Other Options? Uncover 17 companies that survived and thrived after COVID and have the right ingredients to survive Trump's tariffs.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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